Global News: Volvo Truck Sales Collapse; Chrysler Stays in China; Valeo Ex-CEO Gets Golden Parachute
March 25, 2009
In Global News Tuesday, Swedish truckmaker AB Volvo's sales nosedived in February, Chrysler is focusing on imports to China and the French government is outraged over a golden parachute paid to the departing CEO of supplier Valeo.
In Sweden, Volvo Trucks' February sales are down 51 percent versus the same time period last year. As the world's second-largest heavy-duty truckmaker cuts capacity and fights demand fallout in all major markets, they also withdrew a proposal earlier this month to raise executive salaries following public criticism.
In China, Chrysler is shifting focus to imports after vain talks with Chinese automakers Chery Auto and Great Wall Motor. Importing more models into China is Chrysler's only option to maintain presence in the near term. The Jeep-branded Dodge Journey
and Wrangler Rubicon will launch in China next month, and an upcoming version of Jeep Compass will be imported later this year.
France is taking a hard-line stance against $4.3 million golden parachute for departing Valeo CEO Thierry Morin, who resigned last Friday over strategic differences. "It is shocking, in the current climate, to set up this type of payment," said Industry Minister Luc Chatel. The French government, an 8.3 percent stakeholder of Valeo, plans to vote against the payout at the annual meeting later this year. Valeo was the first company to receive aid from France's strategic investment fund, created last year to support French businesses during the recession.
Photo by Chrysler
The Dodge Journey will be sold in China.
Posted by Michelle Krebs at 7:00 AM under Chrysler , Companies , News , Personalities | Comments (0) | digg this | Seed Newsvine
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